For the following question(s), use the accompanying table.
Table 3-2

-Refer to Table 3-2.Helen has an absolute advantage in
A)dresses and Carolyn has an absolute advantage in quilts.
B)quilts and Carolyn has a comparative advantage in dresses.
C)both goods and Carolyn has a comparative advantage in quilts.
D)neither good and Carolyn has a comparative advantage in dresses.

Question

For the following question(s), use the accompanying table.
Table 3-2
 
-Refer to Table 3-2.Helen has an absolute advantage in
A)dresses and Carolyn has an absolute advantage in quilts. 
B)quilts and Carolyn has a comparative advantage in dresses. 
C)both goods and Carolyn has a comparative advantage in quilts. 
D)neither good and Carolyn has a comparative advantage in dresses.

Quizplus · Accepted Answer

Helen has an absolute advantage in both goods if she can produce more of both dresses and quilts than Carolyn. Carolyn has a comparative advantage in quilts if she can produce quilts at a lower opportunity cost than Helen.

For the Following Question(s), Use the Accompanying Table